1. 1 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Module 4 Project Management Sponsored Programs at Penn

2. 2 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Project Management Agenda Establishing the Project Environment Managing Monthly Communication Monitor Expenditures Cash Management

3. 3 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Roles and Communications Report monthly to PI Communicate regularly with ORS –ORS represents the University externally for all sponsored projects –Financial reports, cost sharing, delinquent sponsor payment –Programmatic changes –Assesses allowability of costs Don’t surprise the sponsor

4. 4 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Communicate with PI Personnel –Establish payroll distribution Establish level of effort anticipated for each individual on project Subcontracts –Confirm amount; inform ORS Restrictions on spending Cost Sharing

5. 5 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Communicate with ORS Inform sponsor via ORS of project changes Monitor subcontractee SPP #2131, #2135 Subrecipient Monitoring policies#2131#2135 ORS Accountant –Cost sharing –Verify payments –Allowability of costs during Post Award period ORS Contracts Administrator –Allowability of costs during Pre Award period –Extensions and other project changes

6. 6 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Support the Project Work with PI on on-going basis Ensure that interim reports & proposals are submitted on time Disclose Inventions and Patents Prepare for Progress Reports and Non-Competing Continuations

7. 7 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Establishing the Project Environment Payroll Set-up Identify who belongs on distribution Identify amount of funding and % effort Distribution Stop Date s/b set to the Account End Date Salary Encumbrances are calculated through the Current Budget End Date or Distribution Stop Date (whichever is earlier)

8. 8 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Procurement Ben Buys Commodity Matrix –Methods of Purchasing –When should C-1, C-1A, C368, Purchase Order, or P-Card be used Competitive Bids Required on aggregate purchases > $5,000 unless purchase is with a University Contract Supplier or with a supplier participating in the Penn Marketplace.

9. 9 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Issues Surrounding Specific Expense Categories

10. 10 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Equipment Must be necessary for project purposes –During the award period Is not reasonably available for use elsewhere in the University Award notice does not constrain equipment purchases

11. 11 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Equipment (cont.) Obtain necessary bids –Or have justification for sole source purchase Document whether equipment is –Government owned –Government furnished Disposition after project end –Know sponsor regulations

12. 12 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Travel Determine allowability on project Justify and document changes if not in proposal

13. 13 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Foreign Travel Travel must be included in proposal or otherwise be allowed by sponsor Department must maintain documentation in the file that supports the trip’s purpose Foreign air travel paid with federal funds must be on US-flag air carriers –Limited exceptions

14. 14 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Foreign Travel Exceptions, which must be documented, generally include: –US-flag air carrier does not go to destination –Total trip time extended more than 24 hours –Lay-over extended more than 6 hours –Foreign carrier eliminates 2 or more changes –On short trips: US-flag air carrier would double travel time Exceptions can be found at GSA Travel Regulations (41CFR301-10.135-143) –www.access.gpo.gov/nara/cfr/cfr-retrieve.html#page1

15. 15 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Consultants Evaluate: Consultant, Employee or Subcontractor? –Use C-12 Independent Contractor Determination & Certification http://www.finance.upenn.edu/comptroller/tax /contractor_certif.shtml Consulting agreement completed and forwarded to ORS for approval & signature

16. 16 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Consultants (cont.) Document role of consultant –Needs to be working towards the goals of the project to which he/she is charged Review sponsor’s guidelines for consultants –Ensure any required approvals are obtained –Consultant rates may be limited

17. 17 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Purchases PI approval process for purchases Assess allowability, allocability and reasonableness Verify budget and availability of funds Procure bids “Buy American” on federal awards when possible Don’t buy capital equipment at end of project

18. 18 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Service Centers Definition: –A department or functional unit within a department, which performs specific service for a fee Examples: Cell Sorting facilities, Resonance Imaging facilities, and Animal Care facilities

19. 19 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Service Centers (cont.) ORS responsible for review & approval of rates Services provided charged based actual use of services Charges for services allocated monthly -Financial Policy #2115 University Service Centers

20. 20 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Service Centers (cont.) Make sure Service Centers use correct fund account PI & BA should review Service Center charges regularly –The BA may not know what services were provided, or if the amount charged is appropriate

21. 21 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Manage Monthly Plan expenditures in advance –This will make the project easier to manage throughout life of project Run and analyze appropriate reports –Financial Policy #1402.5 Monthly Closings/Reporting Send detailed reports to PI

22. 22 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Remove unallowable and wayward charges Compare expenditures to projections Manage changes through full system –Changes in award value affect payroll –Changes in subcontracts or equipment affect F&A charges Manage Monthly (cont.)

23. 23 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Manage Project Changes Proactively Use proposal as “home base” Anticipate necessary changes –Contact ORS for approval –Get sponsor approval through ORS –Change of scope or effort Plan ahead for extensions

24. 24 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Monitor Expenditure Rates Sponsors question unusual expenditure rates –Have we changed scope of work? –Are we still breathing? Communicate with Sponsor (cc ORS)

25. 25 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Cost Transfers The transfer of costs to sponsored projects where the costs initially had been incorrectly charged to another account. Any cost transfers that occur need to be properly justified and documented. –University Financial Policy Number 2113 Cost Transfers and Payroll Reallocations states "Cost transfers must be prepared and submitted within 90 days from month end in which the transaction appears on the fund." Failure to adhere to this policy may result in the University disallowing the transfer which would result in a write-off to the administering department.Cost Transfers and Payroll Reallocations

26. 26 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Cost Transfers Must be an allocable, allowable and justified charge to the particular award Department must maintain documented justification for transfer Must be made within time constraints

27. 27 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Cost Transfer Principles Cost transfers are for correcting legitimate ERRORS Cost transfers should NOT be used as a means of managing cash flow Project funds are NOT interchangeable –Integrity of each grant account must be maintained Allowability of costs must be maintained

28. 28 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Cost Transfers Documentation –Supported by full explanation and justification, as well as a certification of the propriety of the transfer –Explanations such as “to correct error” or “to transfer to correct project” are not sufficient –Approval can be documented by PI signature Printed e-mail messages from PI

29. 29 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Cost Transfer “Red Flags” Transfers made in excess of 90 days after the original charge Transfers without a full explanation High volume of transfers Timing and “route” of transfers Late transfers to funds with unexpended funds Transfers from funds with overdrafts to other 5 fund(s) Transfers between funds with scientific overlap

30. 30 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Advance Accounts for Continuation Awards Recommended for non- competing renewals requiring new fund #’s for each period –Department requesting the advance account bears the risk of having to fund any costs incurred if the funding never materializes

31. 31 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Monitoring Accounts Receivable For Letter of Credit awards, check revenue On Letter of Credit, confirm that PBIL is correct Contact ORS to address payment problems with sponsors –Departments should review AR and contact ORS regarding aged receivables of concern For awards on payment schedule, contact Bob Speakman For all other awards, contact Gokila Venkateswaran

32. 32 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Checks, Payments and Project Budget Increases Hand carry check to ORS immediately, with project identification –Do not deposit check Should AIS be increased because of check?

33. 33 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Run and Review Reports BEN Reports –102.ORG – Summary CNAC-ORG-FUND level –115.ORG – Fund Summary –133.ORG – Due to Close –134.ORG – Summary of Final Expenditure Report Data Warehouse –Fund Summary –Org Summary –Corporate Documents Payroll Correct Errors

34. 34 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Reporting Tools “There are so many reports I’m not sure where to look first.”

35. 35 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 GRAM / BEN Reports Reports used primarily by Principal Investigators Reports represent a Current Budget Period perspective Not easy to determine PJTD Numbers or amount to close out at (other than Budget Available) Critical for Operating Budget to be posted to the Budget Period Start GRAM – The online PI view

36. 36 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Actual Spent represents Current Budget Period Only Further Detail can be clicked on, but none is available for Prior Budget Periods

37. 37 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Management of All Grants in ORG BUSINESS OBJECTS ORG Summary.rep by Fund, PI, Acct End, receivables, overdrafts, funds freezing, late/due FSR’s, Analysis of expired funds, Illegal object code charges, possible F&A direct charged to Fed grants, payroll compared to budget. Grantmonitor.rep PBIL/PBUD/Budget, NCC Due, Awards Due, Revenue Check, Overdrafts (active and expired), Federal Cash, CT Cash, Residual Balances, Receivables Subbudgets.rep our charges to others Otherorgschgs.rep ORGpersonnel.rep all current distributions Paylate.rep funds with pay after termination Award Analysis- Award Date.rep PT-Proposals.rep JE inquiry (by batch between dates).rep FY Grant ORG Expense Analysis.rep Effort Report – Home Dept ORG.rep Object code by fund – posted org.rep Object code by fund – detail AIS (full search).rep BEN FINANCIALS 132.ORG List of Terminated G&C Funds 133.ORG List of G&C Funds Due to Close 138.ORG Frozen Fund List 201.SCH PJTD Rev/Exp for G&C/URF 202.SCH YTD Rev/Exp Totals for Funds 211.SCH PJTD Rev/Exp Outline for G&C/URF 212.SCH YTD Rev/Exp Outline for G&C/URF 301.BUD Budgetable Amount - Grants/Contracts 306.BUD Negative BBA ORG/FUND/CREF PJTD

38. 38 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Fund Level Management BUSINESS OBJECTS fundsummary.rep summary by ORG/CNAC SNAP/NCC estimated unobligated balance Fundsummaries for RESP ORG.rep Fund Detail.rep monthly matrix all expense monthly matrix personnel paid Effort Report – Fund.rep GRANT REPORTS.rep PI friendly & monthly payroll and expense detail GRANT REPORTS –PI.rep GRANT REORTS – Resp Org.rep BEN FINANCIALS 102.ORG Summary G&C by CNAC/ORG/FUND 103.ORG Summary G&C by CNAC/ORG/FUND/CREF 115.ORG Grant Fund Summary Report 130.ORG PI Report by CNAC/ORG/FUND 134.ORG Summary of Final Expenditure Report (available for grants in adjustment period) 137.ORG Grant/Contract Budget Period Summary

39. 39 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Expense Detail BUSINESS OBJECTS Fund Detail.rep Payroll by Obj, by Person,Exp Detail by Object, Org, Acct Period, P.O./User Fund Detail – PI.rep monthly matrix of personnel paid on PI grants Payroll.rep (any fund any period of time) variations include: All grants of PI All grants of Resp Org Personnel.rep (any person, any period) Personnel-one (any person’s current distrib) Detail.rep variations include: All grants of PI All grants of Resp ORG subcontracts object special budget operating budget cash deposits Encumbrances(Fund).rep Waywards.rep BEN FINANCIALS 150.ORG Detail by CNAC/ORG/FUND 151.ORG Detail by CNAC/ORG/FUND/CREF 152.ORG Detail by CNAC/ORG/CREF 153.ORG Detail by CNAC/ORG/FUND/PROG 155.ORG Detail Extract 156.ORG Detail by CNAC/ORG/FUND/PROG/CREF 160.ORG Account Analysis with payables detail 163.ORG Open Encumbrances Report 301.BUD Budgetable Amount - Grants/Contracts 304.BUD Negative BBA ORG/FUND YTD 305.BUD Negative BBA ORG/FUND/CREF YTD 306.BUD Negative BBA ORG/FUND/CREF PJTD 315.BUD Posted Budget Journal with Exceptions 507.GA Posted Journal Activity Report 508.GA Unposted Journal Activity Report 510.GA Detail Transaction by OBJECT by ORG

40. 40 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Your assignment Full documentation of the Business Objects Queries is available at: http://www.upenn.edu/computing/da/dw/financial_queries.html Select “Grants Management” While we will discuss and give samples of some of the more popular reports today, it is essential that you GO BACK TO YOUR OFFICE AND PLAY WITH THE REPORTS!!! Decide what tools/reports work best for you and your investigators.

41. 41 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 ORG Summary.rep

42. 42 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 ORG Summary - Analysis of Expired Funds Why isn’t my fund disabled?

43. 43 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 ORG Summary – possible F&A

44. 44 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Fundsummary.rep- Estimating the Unobligated Balance Make sure the formula toolbar is visible and checked under View Toolbar.

45. 45 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Grant Reports.rep

46. 46 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Grant Reports.rep

47. 47 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Identifying Waywards – 115.ORG The 115 shows a possible wayward charge from ORG 4227 Cardiology. To obtain the detail of the charge a 15X.ORG report can be run entering the ORG making the charge in the Accounting Period the charge was made.

48. 48 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Otherorgschgs.rep & Waywards.rep

49. 49 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Effort Report - Fund

50. 50 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Effort Report - Fund

51. 51 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 In Summary Award must be reviewed on a regular basis Communication is vital to the proper administration of the award When you are not sure, investigate and ask If an award is properly managed, the closeout process is very simple

52. 52 The Office of Research Services The Office of Research Support Services REVISED AUGUST 28, 2007 Questions???